FAQs for NRI

1.      Who is an NRI?

An NRI is a citizen of India who holds an Indian passport and has been immigrated to another country over six months for work or residence etc.

2.      Who is a PIO?

A person of Indian Origin (PIO) means an individual who:

• held an Indian passport at time or,
• who/whose father/paternal grandfather was a citizen of India by virtue of the constitution of India or Citizenship Act, 1955

3.      Who determines whether a person is resident of India or not?

Under FEMA, the status is determined by the operation of law.

4.      What types of NRI accounts are allowed to be maintained in India?

 Two types of accounts are allowed to be maintained in India:

·         Non-Resident (external) Rupee Account (NRE)

·         Non-Resident Rupee Account (NRO).

Funds in NRE account are repatriable.

5.      Can an NRI authorize a close relative to operate his NRE account?

Yes he/she can after providing a letter of authorization.

6.      What are the various facilities available to NRIs/OCBs?

NRIs/OCBs can avail following facilities:

•        Maintaining of bank accounts in India
•               Investments in securities/shares and deposits with Indian firms/companies
•        Investments in immovable properties in India

7.      Can an NRI or PIO avail housing loan in rupees from his employer in India?

Yes, subject to certain terms and conditions.

8.      Can an NRI/PIO/Foreign National sell his residential/commercial property?

TYPE OF CITIZEN	STATUS	CAN SELL TO WHOM	CONDITIONS
NRI	Yes	to NRI/PIO/Foreign National	Nil
PIO	Yes	to a resident of India/NRI/PIO	prior approval of RBI
Foreign National	Yes	to NRI/resident of India/PIO	prior approval of RBI

9.      Can a NRI gift his property?

TYPE OF CITIZEN	STATUS	CONDITIONS
NRI	Yes	Nil
PIO	Yes	Nil
Foreign National	Yes	prior approval of RBI

10.  Can an NRI/PIO/Foreign National mortgage his/her residential/commercial property in India?

Yes, the property can be mortgage keeping following conditions in mind:

·         Can be mortgage to:

(1)   an authorized dealer/the housing finance institution in India without the approval of RBI.

(2)   a bank abroad, with prior approval of RBI

·         A Foreign National of non-Indian origin can mortgage a residential/commercial property only with prior approval of RBI.

·         A Foreign company which has established a branch office or other place of business in accordance with FERA/FEMA regulations has generated permission to mortgage the property with an authorized dealer in India.

11.  Can NRI/PIO rent out the residential/commercial property purchased out of Foreign exchange/ rupee funds, if not required for immediate use?

Yes, rent received being current income may be credited to NRE/NRO account or remitted abroad.

12.  How can an NRI/PIO make payment for purchase of resident/commercial property in India?

Payment can be made by NRI/PIO out of:

(1)   Funds remitted to India through normal banking channels or

(2)   Funds held in NRE/FCNR(B)/NRO accounts maintained in India

No payment can be made either by traveler’s cheque or by Foreign currency notes or by other modes except from those mentioned above.

Property in Gurgaon

NRI: All about Real Estate in India

Why, How and Where are three common questions that keep arising when we talk about investing Indian Real Estate. This is what we are going to help you with in this article. Starting from ‘why’, then ‘where’, to finally ‘how’, we would try to answer all your queries.

India has proved that it possess a lot of potential. Urbanization and Globalization are the major factors behind the boom in Real Estate Industry. This growth has focused on mainly three sectors, Residential, Commercial and Retail.

Growth in commercial Real Estate sector is due to the rapid growth in Outsourcing Sector and IT/ITeS. Growth in Tourism Industry is also behind this huge improvement in Real Estate Scenario. This has not only affected the employment opportunities, lifestyle and class but also has increased the cash flow directly improving the country’s economy.

All of this has directly attracted the interest of NRIs to invest in Indian Real Estate. Though the reasons are different; some want to settle in, some just look for a traveling spot and some for investment purposes. Though the Tier I cities are showing a kind of saturation but the good news is that Tier II cities are attracting a lot of builders and developers to launch their projects. It has been estimated that Indian Real Estate is growing at a rate of 30% per annum.  Real Estate sector is one of the safest sectors to invest your money in.
                                                                             
When we talk about places offering good investing options, the top names in present scenario are Noida, Greater Noida and Gurgaon. These three are the most promising cities at present. If we talk about only commercial investments that include office markets then apart from the above three, Mumbai and Bangalore are also among the promising cities to invest in. The builders like Vatika, Vipul, DLF, Bestech, Unitech, BPTP, M2K, Ireo and Homestead are few of those who have captured the Real Estate market by launching their premium projects in different areas of Noida, Greater Noida and Gurgaon.

After having an in-depth knowledge about the market, the most important thing to consider is that how can you invest in the market? Basically if you are a NRI, you tend to have an lesser knowledge about the Real Estate market. Major things that one must keep in mind during investment, mainly when it involves NRIs are:

1.THE REQUIRMENT: Knowing the requirements is the foremost necessity. One should invest according to the purpose of investing.

2.EXPERT ADVICE: It is really important to take an expert advice when investing in a particular project. The important thing is to choose a reliable source, who can help you in investing in the appropriate project.
India has a lot of scope for Real Estate investments.

We will keep you updated for the same in our coming Blogs!! Keep visiting us!

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Assured Returns in Real Estate

Assured Returns

What is Assured Return?


Assured Return these days is a popular concept in the real estate industry. In simple words, Assured Return an interest or return on money invested by an investor at an agreed rate. Assured Return also has the concept of capital appreciation involved. Capital appreciation simply means the rise in the value of an asset based on the rise in market price.


The rate of return assured to the buyer is decided by the developer and usually fixed in advance and offered to all the clients investing in that particular project

Why to invest in Assured Return Schemes?

Assured return is one such plan that attracts buyers faster than any other. It is one of the safest and low-risk investment plans. Assured Returns are given by the builders to the investors who invest in their under construction project. These projects are mostly commercial projects such as space in Business/IT Park, Malls, Shopping Complexes or Studio/ Service Apartments; but lately this concept is coming in residential retail market as well. Assured Return Schemes prove to be beneficial to both the builder as well as to the investor/buyer.

Who should invest in Assured Return Schemes?

This new age concept is beneficial for all those who have got money to invest and are looking for a steady monthly income. As the young investors are being lured by the regular investments, the senior citizens are not behind too.
Assured Return Schemes gives monetary security to the senior citizen by offering them a steady income every month. The people investing in Assured Return Schemes mainly cover retired citizens, NRIs and all those who want to invest in the commercial property.

What Benefits does one gets?

The trend in the commercial sector is to rent a space instead of buying it. This ensures low risk and lesser worry on maintenance. So, it is always a win-win situation for any investor putting his money into such commercial property.

• Provides investors with a fixed monthly income – most developers provide bank guarantee hence adding   security to the transaction.

• Those investing in assured return property can take double advantage of their investments growing & at the same time get returns from day 1 from their assured return property.

• The rate of return works out much higher if you factor in the rental income along with growth in capital value   of the assured return property.   

• The size of investment is much smaller compared to other properties.

What are the risks involved?

Every investment has a risk involved and so does this luring scheme too. The biggest risk involved is: what if the developer suddenly stops paying the monthly payment or what if the commercial site never goes on lease? For such a situation, the solution to this danger lies in including a recourse plan in the agreement to safeguard the investor’s interest.

The reputation, quality of past projects, legal clearances and requisite approvals decide whether a builder is worth trusting or not. Bank security is another major point to be kept in mind for a safer investment. Many builders these days have started giving bank assurance.

If one chooses a reputed builder the risks involved can be avoided making the investment safe and secure.

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New Home Loan policy for women

"A very happy International Women's Day to all the charming women out there!!"

Indian society is typically a male oriented society where women has never been anything more than a mere subject. Last year Nirbhaya's case left everyone  around the world shaken. Even after all this violence, I feel that women has never seen more revolutionary period ever. When something is under pressure there are just two possibilities; either the thing breaks due to pressure or blasts due to pressure. When it comes to Indian women, the second case fits aptly.

Women now have understood the need to stand for themselves! While going through the newspaper today, I came across an article that stated that just three factors can change the current status of women, property, proprietary and perception.

I fully agree with the statement and leaving the other two behind in this article we will discuss about importance, need of owning a property and how easy it has become for women to get a home loan.

Owning a property does not only adds to your assets but also gives a sense of confidence and independence. With this thought, LIC Housing Finance has launched a woman-oriented  home loan scheme, 'Bhagya Laxmi'. The interest rate under this scheme would be 0.25 percent lesser for women.

According to LIC, repayment record has been excellent when it comes to women. 'Bhagya Laxmi' attracts 10 percent interest rate for the first two years and after that it will turn into floating interest rate product. But, even after that the interest rate remains 0.25 percent lesser.

Being a Real Estate consultancy firm, we at Property Point suggest that it is a good time to invest in residential property. Upcoming great residential projects and launch of such an interesting home loan scheme makes it a not to be missed opportunity. So, all the ladies out there invest in your dream property as this scheme by LIC Housing scheme is limited March 31.

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Scope of Property Investment in Noida

NOIDA is an abbreviation of New Okhla Industrial Development Authority and comes under Uttar Pradesh Government and lies in the Gautama Buddha District. The city was formed in 1976 and has seen steady development since then. NOIDA comes under Delhi-NCR circle.

NOIDA by far is the cleanest city among Delhi –NCR cities and scores 17th position in the country. NOIDA is the home to many IT/ITeS outsourcing and off-shoring companies, major residential projects and an established commercial hub as well.

The proximity of NOIDA to The Capital City – Delhi through well constructed roads, bridges, flyovers and most importantly Delhi Metro is the reason of establishments of companies like Global Logic, EXL, Birlasoft, Impetus, ST Microelectronics, Mtron PTI, Fiserv, Adobe Systems, TCS, CSC, HCL, ATC Labs and more.

The Industrial, Commercial and Institutional Growth together are the reasons behind the growth in Real Estate Industry. The growth of NOIDA has affected the adjoining areas as well and this being the reason behind the development of NOIDA Extension, Greater NOIDA, NOIDA-Greater NOIDA Expressway and Yamuna Expressway.

NOIDA has three main Expressways:

• DND Flyway: It connects NOIDA and Delhi, runs across the river Yamuna, and receives heavy    patronage from office-goers in the city.
• Noida-Greater Noida Expressway: Six-Lane expressway connects Noida to Greater Noida and further extends to meet Yamuna Expressway.
• Yamuna Expressway: It connects Noida to Agra via Mathura. The area adjacent to the NGN Expressway has seen heavy residential development in recent years.

Some of the well renowned builders that are coming up with their projects in NOIDA are listed below:

• Sunworld Group
• Logix Group
• Jaypee
• Shubhkamna Advert
• Eldeco
• Omaxe and many more

NOIDA has seen the maximum growth as compared to other NCR cities and still has scope for more! 

Property in Gurgaon

IT IS OFFICIAL

"All day work and no play, makes John a dull boy!"

Office Interiors

This saying is apt for almost all of us today. Everyone nearly spends almost 8 to 10 hours each day at their workplace which in turn makes us so dull and it becomes really tough to keep spirits high and deliver quality work.

Absolutely no worries now! Though we at Property Point give Real Estate consultancy services but at the same time we believe that property is not just about great infrastructure, in fact the interiors matter as well. A property is not only about investing money but with that are attached certain emotions as well. Today we will share a few tips to make your work place both comfortable and cool.

Your work place must reflect your profession, personality and your attitude towards your work. Studies have shown that the temperature of your work place directly affects your productivity. Which is why, our foremost suggestion is that you maintain a comfortable temperature at your workplace this summer. Another way to increase productivity is providing the comfort of home to your employees at office. One thing to keep in mind before following this step is that the comfort should not compromise with the professional atmosphere.

You must remember that, 'First impression is the last impression'. Just the way the location of your workplace, infrastructure, builder, market and interiors are important; the same way the entrance of your office speaks a lot and it should be attractive for the first time visitors. The visitors must get a hint about your profession and also the work environment when they enter your office. Apart from this the presentation matters too, as in the walls of your office must be well-coated and there should be a nice reception and welcoming entrance.

Colors really matter, they have magical powers which really affect our life. If you are in banking or finance you must go for neutral shades. Vibrant colored office suits those who are in a creative field like media, writing, graphic designing etc. Do not forget to incorporate the branding! Try to incorporate the logo, name, services etc with the decor of your company.

Property Point suggests that while making the effort of giving your office a makeover, remember that it should not burn a hole in your pocket. Keep your furniture cost-effective but comfortable. Real-estate staging firms are a great way to get good-quality furniture at an affordable price.

The final suggestion from Property Point is that remember that it is all about personalizing your office and not over-decorating it. And at the end, remember if you want your office to look good always then try to get your office re-painted, clean it and provide the environment a warmness, comfort and professionalism all together.

Property in Gurgaon

NCR Acts as a magnet for Office Market

National Capital Region has emerged as a hub of residential, commercial, retail and office markets. People are ready to invest and setup their business here due the ease of connectivity, better infrastructure and affordable residential options.

In the present scenario, Gurgaon and Noida are ruling the Real Estate market and is becoming the most sought after option for those who want to invest in office spaces as well.  We bring to you a close city wise study so that you can easily compare the scope of investing and setting up an office in the city of your choice.

PROSPECTS OF OFFICE MARKET IN DELHI

Delhi has always been the centre for business. The prime locations business activities of Delhi are located in Connaught Place, Barakhamba Road and KG Marg. The GDP of Delhi increased by 10.7% between 2007 and 2012. One cannot tell that which business sector rules the city; with such an old history and being the capital city of India the city is a home to various sectors like hotels, aviation, media, telecommunications, technology, banking and tourism.Though the city is completely packed, Saket and Jasola are emerging into new business centers.

PROSPECTS OF OFFICE MARKET IN GURGAON

Gurgaon enjoys the titles, ‘India’s Singapore’ and ‘Millennium city’ solely because of the rapid growth that the city has achieved in the past five years. One of the main attractions that Gurgaon has for the investors is that it is nearby to International Airport. Gurgaon contributes to nearly 40% of the national industrial growth. At present the office market in Gurgaon is concentrated in Sohna road, DLF Cyber City, Golf Course and Golf Course extension road. Besides IT, non-IT sectors like banking, consultancies, finance are also expected to increase in the current year.

Gurgaon is being struck by two major issues due to which people are ready to consider other options as well; one being the increasing congestion on the road leading to traffic jams and the other being high rentals for office spaces in the areas like DLF Cyber city. Still, according to the market analysis Gurgaon Real Estate stands strong chances.

PROSPECTS OF OFFICE MARKET IN NOIDA

Noida lies behind Gurgaon when it comes to Real estate industry. Noida offers 17 million Sq.Ft. of fresh office space by the end of the year 2014. Special Economic Zone status, its suburban atmosphere and its proximity to Delhi gives Noida an added advantage and attracts investors.

Noida has emerged as a hub of automobile industry, IT and not to forget the Film City. Right now, Noida-Greater Noida expressway is the most popular choice for investing in office spaces.

Property in Gurgaon

GURGAON REAL ESTATE IN 2013

Though the UNION BUDGET-2013 was not up to the expectations of the Realty Sector still, this industry has not lost hope. If we go by expert advice, year 2013 has a lot in its store for the Real Estate Industry. Most of the development and growth is expected to be in Gurgaon and Noida. The prices of residential projects are likely to appreciate in 2013 which will attract many investors to the market.

When we talk about Gurgaon, there was an improvement in the year 2012 as compared to year 2011 in terms of residential projects. Research shows that in year 2012 around 22,000 new residential projects were launched in Gurgaon.

The question is what attracts investors to Gurgaon?  The reason is quite visual. The development in past 25 years has helped the city to achieve the title of Millennium City. Drastic growth in the commercial and industrial sectors has driven the growth and development of Real Estate in Gurgaon.

Current year-2013 will mainly be dedicated to the development and completion of the projects by the builders. Gurgaon acts as a magnet to all sorts of investors; be it in residential or retail. The highest appreciation will be seen on Dwarka-Gurgaon Expressway and Golf-Course extension road. The factor behind this development is that these locations enjoy close proximity to the capital city-Delhi.  Another positive point is that Golf-Course extension road promises steady construction schedule.  This led to the growth in the lifestyle and here is the city today offering best of Restaurants, 5 star hotels, Clubs, Golf-course, best of schools offering good education, high street markets, malls and off-course luxurious residential projects making Gurgaon a city with ideal climate for business and residency.

When so many people started to migrate to the city due to their work, growth of amenities, facilities and infrastructure in the city became the need of hour. The city at present is the most happening place as it has many pubs, lounges, great eating-joints and clubs. The development of IT/ITeS, MNCs and corporate offices has forced the young professionals to settle in the city as well. Gurgaon has become a place where young India dreams and dares to achieve. Gurgaon for them is young and fast city which gives a lot of opportunities to grow.

Like we know that perfection exists only in dictionary, Gurgaon too has some drawbacks. Though the development plans were high but in the past years Government failed to keep up the pace with the rapidly upcoming residential projects. Slow infrastructure development in the city disappointed many investors and buyers giving Gurgaon a bad status. Gurgaon government is doing all it can to make the city rise up among the neighboring NCR cities. Providing broad roads for the swift flow of traffic, manicured parks to provide greenery to the city and improvement in the infrastructure is all the government is working at. Changing shape of Gurgaon is not only attracting the working class but also the businessmen and the elite classes as well.

Talking about the future; it is bright and promising. The city shows a lot of potential and will continue top the realty charts.

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LAL DORA: Need, Complexity and Benefits

The term Lal Dora was coined in the year 1908. In olden days, a Red thread was tied by the land revenue department around the extended part of the village defining the area for habitation or non-agricultural activities. This practise of distinguishing the agricultural and non-agricultural area using a Red thread was termed as Lal Dora.

Even though the practise vanished long back, the term exists. Lal dora today consists of all those areas that were absorbed in it while the Capital was expanding its boundaries. These areas include Munirka, Khirki, Hauz Khas, Sant Nagar, Chawala, Mahipalpur, Mehrauli, Dhansa, Najafgarh etc.

The capital has been a favorite spot to settle and invest in by the people from all round the country. According to the Census 2001 around 2.59 lakhs people migrate to Delhi each year. When Capital started to expand its boundaries, there were places which started to transform into the prime locations of the city. But, development of these places within the capital was not planned as a result a haphazard development started taking place around the city. This happened because Lal Dora was exempted from the by-laws and other rules of building, making people extend their lands the way it pleased them. The research shows that by the year 2021 around 230 lakh would be the population of Delhi. Such a large increase in population also increases the demand of housing land, resources and facilities. This is what made DDA to approve Lal Dora extension after 23 long years.

According to the experts middle-income group would rule the population of the Capital, requiring good number of affordable housing options. Lal Dora in such a situation is a boon to the people. While, the prices of property is shooting up in Delhi, we have Lal Dora land area options which due to lack of hard rules, laws and regulations provide cheaper and good living options that too in the Capital city-Delhi. People can either invest or build their own homes on the small land holdings. Great connectivity, low prices and all the necessary amenities is what DDA current amendment will help these areas to achieve.

Talking about the complexity, over population, unemployment and cheap rentals are the driving forces behind the rampant illegal construction in Lal Dora areas. Development of slums is another major issues being faced by these areas.

With all the pros and cons of Lal Dora areas, we can just hope that DDA's policies bring some significant change in the current scenario as Lal Dora areas with all the benefits can prove to be a big reason behind Delhi's development and growth.

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BUDGET 2013-14: Impact on Real Estate Industry

‘Realty sector of any country is capable of uplifting country’s economy’

Real Estate Industry has gained an altogether new status in past few years. The industry has seen major ups & downs in the last few years. Allowing FDI in 2002 was a major turning point for the Industry. Though, last year has been challenging for Realty sector but, this year is predicted to be a mixed bag of opportunities.

To buy a house and keep it forever is typically an old story. Now, people want to invest in property as they see investing in Property a safe and a high return solution in comparison to stocks or mutual funds.High Interest rates, low economic growth are the prime reasons behind a fall of 12-13 percent in the absorption rate by the customers. Due to this slow down, the Builders were launching fewer projects in the market.

Not only the Realty sector but also the investors were hoping a lot from the Union Budget 2013. The demand of Real Estate Industry was to lower the interest rates on loans and simplify the process of approvals and increase the process transparency.

Finally on 28^th of February, Mr. Chidambaram announced his 8^th Union Budget. He announced to start an Urban Housing Fund to match up the huge shortage of houses in the urban areas. Mr. Chidambaram quoted in his speech that, “I propose to ask National Housing Bank to set up the Urban Housing Fund and, in consultation with RBI, I propose to provide Rs. 2,000 crore to the Fund in 2013-14”. To boost up the sector further, another clause has been added for the first-time home buyers. The first-time investors availing up to Rs 25 lakh in 2013-14 can get an additional interest deduction of Rs 1 lakh in the first year above the existing 1.5 lakh benefit.

Apart from this, the allocation towards the Rural Housing Fund has been increased to 50%. For the luxury and premium apartments the abatement in service tax has been reduced to 70% from 75%. This would result in an increase of about 0.6% in effective service tax rate. The Budget for 2013-14 also proposed to levy a one per cent TDS on properties of above Rs. 50 lakh.

The Impact of Budget 2013-14 is neutral providing a little encouragement to the market. This Budget is expected to bring liquidity for the urban housing and thus increasing the demand in the industry.

Property in Gurgaon